http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 13.15Change: -0.05
R/$ = 11.65Change: -0.10
Au 1283.66 $/ozChange: 10.51
Pt 1240.50 $/ozChange: 12.30
 
 
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?








Start
 
End
 
 
And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
 
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Letters Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Jul 02, 2012

R827bn tax collection target set

Back
Finance Minister Pravin Gordhan discusses South Africa's tax base and sustainable economic growth. Recorded 02.07.2012. Cameraperson: Nicholas Boyd. Editing: Darlene Creamer
Pretoria|Africa|Projects|Sustainable|Water|Africa|South Africa|Energy|Manufacturing|Service|Services|Transport|Infrastructure|Pravin Gordhan|Water
|Africa|Projects|Sustainable|Water|Africa||Energy|Manufacturing|Service|Services|Transport|Infrastructure|Water
pretoria|africa-company|projects|sustainable|water-company|africa|south-africa|energy|manufacturing|service|services|transport-industry-term|infrastructure|pravin-gordhan|water
© Reuse this



Finance Minister Pravin Gordhan on Monday stated that South Africa’s tax base, which comprised citizens and business engaging in taxable activities, such as excise tax, personal income tax, value-added tax (VAT) and corporate tax, was not wide enough.

Speaking at the official opening of the 2012 tax season, in Pretoria, he said that to ensure sustainable economic growth, larger revenues were required; however, the only way to ensure increased revenue was to grow the economy and create tax-paying-level jobs.

South Africa also required the establishment of more businesses, particularly with an increased commercial base, and an increased production base, especially in manufacturing.

The South African Revenue Service (Sars) is expecting to collect over R827-billion in revenues from the entire South African tax base in the 2012 tax season and R927-billion in 2013.

Total revenue collection grew from R114-billion during the 1994/95 tax season, to over R742.7-billion in 2011. Of this, 12-million South African individual taxpayers, last year, accounted for R251.6-billion, or 33.8% of all revenue collection. Business activities, excise tax, corporate tax, VAT, capital gains and dividends, besides others, contributed the remainder.

At March 2012, South Africa held 13.7-million registered individual taxpayers, a jump from 1.7-million in 1994 and 6-million in 2010.

The number of companies that have registered for income tax had increased from 422 000 in 1994, to more than two-million in the 2011/12 financial year.

There were currently 664 000 registered for VAT in South Africa, up from 397 000 in 1994 Further, the number of registered employers grew from 177 000 in 1994, to a current 385 000.

Gordhan said the country aimed to invest in significant infrastructure projects and other activities to stimulate growth, with R845-billion earmarked for energy, transport, water and telecommunications infrastructure over the coming three years.

“If there is no growth plan accompanying a fiscal [plan], then economies will not be able to work their way out of economic difficulties,” he noted.

The Finance Minister also said that the relationship between government and taxpayers was important for South Africa to host a viable and meaningful democracy.

Every citizen was a part of growing South Africa and ensuring that the country maintained the financial strength and stability to absorb the “formidable” impact of the financial crisis of 2009.

“We have managed over the last ten years to maintain a low debt load, and while gross debt may migrate to 42% or 43% over the next three years, we are still better off than most countries as far as the debt load is concerned,” Gordhan said.

However, he pointed out that the R60-billion revenue lost during the recession had not yet been recovered and that government was working on sustaining its low debt while attempting to deliver services to citizens.

By last year’s deadline a record 4.86-million individuals and trusts had submitted their tax returns on time – 23% higher than the previous year.

About 300 000 people were currently being charged penalties to the value of R1.7-billion for not filing tax returns.

Edited by: Mariaan Webb
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Economy News
The retail price of 95-grade petrol in South Africa will drop by 93c/ℓ or 8.3% from next Wednesday, while wholesale diesel price will decrease by 9.9%, the government said on Friday. Petrol will now cost R10.31 (nearly $1) a litre while the new wholesale diesel price...
Food affordability improved in nearly 75% of countries from September to November 2014, largely owing to a 2.8% decline in global food prices, which are forecast to fall further still. This is according to the results of the Economist Intelligence Unit’s (EIU’s)...
Gauteng Premier David Makhura and JSE CEO Nicky Newton-King after a meeting with JSE-listed companies on Friday
Gauteng Premier David Makhura has promised to outline a comprehensive energy plan in his upcoming State of the Province address, acknowledging that without direct interventions to bolster security of electricity supply the province’s industrialisation vision could be...
More
 
 
Latest News
SAA acting CEO Nico Bezuidenhout, Finance Minister Nhlanhla Nene and SAA chairperson Dudu Myeni
Finance Minister Nhlanhla Nene has assured that loss-making national carrier South African Airlines (SAA) will not receive another bailout from government, noting that the most recent R6.4-billion government guarantee had only been provided in support of an intensive...
South Africa's cumulative trade deficit was R95.3-billion in 2014, the South African Revenue Service (Sars) said on Friday. In 2013, it was R71.4-billion, Sars said in a statement.
Certain regulatory approvals remain outstanding in Telkom’s proposed R2.67-billion takeover of JSE-listed Business Connexion (BCX), the parties said in an update to shareholders on Friday. BCX noted in the statement that the Competition Authority of Botswana had...
More
 
 
Recent Research Reports
Construction 2015: A review of South Africa’s construction sector (PDF Report)
Creamer Media’s Construction 2015 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; the key participants in the sector; local construction demand; geographic diversification;...
Liquid Fuels 2014 - A review of South Africa's Liquid Fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2014 Report examines these issues, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing, competition in the sector, the...
Water 2014: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2014 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
 
 
 
 
 
This Week's Magazine
The international Square Kilometre Array (SKA) radio telescope – which is to be jointly hosted by South Africa and Australia with, later, outstations in other countries – may not yet exist, but international scientific working groups are already deciding what...
A free Web-based solar power plant capacity-planning tool offers project planners and developers, as well as governments, a means to assess the solar energy potential of thin-film solar PV power over an area of land. The tool was developed by thin-film solar...
As yet, no specific methodology, timeline or costs have been finalised to remedy the water ingress, excessive to contractual specifications, into the Gautrain tunnel between emergency shaft two (E2) and Park Station, says Bombela Concession Company technical and...
ASTRAPAK The group highlighted that executive strategic interventions and other group-wide business improvement imperatives were progressing favourably
The “seriously disruptive” electricity outages in South Africa have cost packaging group Astrapak more than R2-million in “irrecoverable downtime costs”, the company said on Monday, adding that the power cuts were negating some of the benefit of energy saving...
Bakkies and more affordable cars dominated South Africa’s new vehicle market in 2014. Unaudited data from the Department of Trade and Industry (DTI) shows that South Africa’s most popular vehicle in 2014 was the Toyota Hilux, selling 37 562 units.
 
 
 
 
 
 
 
 
 
Alert Close
Embed Code Close
content
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
 
 
Close
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks